This week in banking news - home loans, ANZ cut savings accounts' interest rates and the chances of an October RBA cut
In this week’s banking recap, we look at ME ditching credit card plans, ANZ’s interest rate cuts on savings accounts, smaller lenders taking on the big banks with home loans and whether the Reserve Bank of Australia (RBA) will cut rates in October.
Will the RBA cut rates in October?
With the RBA’s monthly meeting coming up next week, the big question on everyone’s minds is: will rates be cut once again? The market is fairly confident that the Reserve Bank will go ahead and cut, which would bring the official cash rate down to 0.75%, half of what it was at the beginning of 2019. Plus further cuts could mean even lower home loan interest rates. Stay tuned for more news updates on RBA cuts in the coming days!
Small lenders compete with the big banks for the home loan market
Talking of home loans, with the spring property season well and truly underway, a number of smaller lenders seem intent on taking on the big four, in a bid to take back some of the home loan market share. Online lender loans.com.au launched two new investor home loan products on Tuesday 24th September. Plus, ME Bank also made its voice heard by cutting variable principal and interest and interest-only investor home loan rates by 49 basis points. So if you’re searching for a home loan this spring property season, why not check out our home loans comparison page.
ME bank ditches credit card plans
While ME enjoyed growth in its home loan portfolio this year, on the other end of the scale, the online bank ditched credit card plans, amid the buy now, pay later frenzy. ME’s CEO Jamie McPhee announced plans for more credit card plans last September, but the plans were later abandoned, a fact which McPhee attributes to the growing number of buy now, pay later services, now available in Australia.
Afterpay released statistics earlier this year revealing that only 41% of Aussie millennials use credit cards, a low figure compared to the 58% of young credit card users in 2002. While buy now, pay later could be a large factor in ME’s decision not to introduce more credit card products, Mozo Banking Expert Peter Marshall wasn’t so sure. Marshall suggested that other factors, such as the introduction of new banking regulations may also have caused the online bank to drop its plans.
Of course if you think a credit card could be better for you, then why not head to Mozo’s credit card comparison page, to see what credit card would best suit your lifestyle.
Bad news for ANZ savings account customers
On the topic of interest rate cuts this week, interest rates for the ANZ Progress Saver and ANZ Online Saver also fell by 0.10%. While the ANZ Progress Saver’s base rate remains at 0.01% the bonus rate fell from 1.94% to 1.84%, making the new maximum rate 1.85% (if you meet the bonus rate requirements).
Plus if you’re a current ANZ Online Saver customer, then you might not be too pleased to hear that the base rate for this savings account has been cut from 0.15% to 0.10%. And if you’re a new customer thinking of signing up to the Online Saver account, then your new bonus rate will be 1.75%, with the new maximum rate standing at 1.85%.
If you don’t think you’re getting the best interest rate on your current savings account, then why not head to our savings accounts comparison page to see what else is out there. Or check out the deals below to see if you could be earning more interest on your savings.
Compare savings accounts
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Hi Saver
4.25% p.a. (for $0 and over)
0.05% p.a.(for $0 and over)
Yes up to $250,000
Bonus rate for the first 4 months from account opening
Earn bonus interest on your savings for the first four months from the date you open the account, even if you make withdrawals. Transfer or make payments using our mobile app or internet banking. No minimum balance required. Rest easy knowing total deposits up to $250,000 are protected by the Financial Claims Scheme.
CompareCompareHi Saver
Earn bonus interest on your savings for the first four months from the date you open the account, even if you make withdrawals. Transfer or make payments using our mobile app or internet banking. No minimum balance required. Rest easy knowing total deposits up to $250,000 are protected by the Financial Claims Scheme.
- Maximum rate
- 4.25% p.a. (for $0 and over)
- standard interest rate
- 0.05% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Bonus rate for the first 4 months from account opening
- Access
- BPay, Branch access, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- -
Read reviews and learn more about P&N Bank savings accounts
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Mozo experts choice awards won:
- Kick Start Savings - 2025
- Highly Commended SMSF Savings Bank - 2025
High Interest Savings Account
5.00% p.a. (for $0 to $250,001)
3.45% p.a.(for $0 to $250,001)
Yes up to $250,000
Bonus rate for the first 4 months from account opening
Reward yourself with a higher rate for your good savings habits with the Rabobank High Interest Savings Account. No Account keeping fees. No minimum balance. Support Aussie farmers with every dollar you save.
CompareCompareHigh Interest Savings Account
Reward yourself with a higher rate for your good savings habits with the Rabobank High Interest Savings Account. No Account keeping fees. No minimum balance. Support Aussie farmers with every dollar you save.
- Maximum rate
- 5.00% p.a. (for $0 to $250,001)
- standard interest rate
- 3.45% p.a.(for $0 to $250,001)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Bonus rate for the first 4 months from account opening, reverting to standard variable rate. Rate shown is for Personal customers and is subject to change. Different rates apply to Business/SMSF customers.
- Access
- Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must link to a transaction account. Minimum age for applying from a Rabobank Online Savings Account is 18 years.
Read reviews and learn more about Rabobank savings accounts
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Boss Saver
4.65% p.a. (for $0 to $100,001)
0.20% p.a.(for $0 and over)
Yes up to $250,000
Minimum $500 deposited into linked transaction account, and 5 Visa Card transactions from that account
Bonus interest for the first four months from the account opened date. No minimum balance required. No monthly or ongoing fees or withdrawal penalties. Manage your money easily via phone or online banking or via the BCU Bank app.
CompareCompareBoss Saver
Bonus interest for the first four months from the account opened date. No minimum balance required. No monthly or ongoing fees or withdrawal penalties. Manage your money easily via phone or online banking or via the BCU Bank app.
- Maximum rate
- 4.65% p.a. (for $0 to $100,001)
- standard interest rate
- 0.20% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Minimum of $500 deposited into a linked BCU Access Account, and at least 5 eligible Visa Card transactions made from that linked account.
- Access
- BPay, Branch access, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- -
Read reviews and learn more about BCU Bank savings accounts
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Savings Accelerator
3.15% p.a. (for $0 to $50,000)
2.10% p.a.(for $0 to $50,000)
Yes up to $250,000
New customers who open an account after June 9 2025 receive an introductory bonus 1.05% p.a. variable kick starter rate for the first 4 months on balances up to $500,000.
Enjoy the flexibility to access your funds with no monthly deposit requirements or lock-in terms. No ING fees to pay. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
CompareCompareSavings Accelerator
Enjoy the flexibility to access your funds with no monthly deposit requirements or lock-in terms. No ING fees to pay. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
- Maximum rate
- 3.15% p.a. (for $0 to $50,000)
- standard interest rate
- 2.10% p.a.(for $0 to $50,000)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- New ING personal savings customers who open an account after June 9 2025 receive an introductory bonus 1.05% p.a. variable kick starter rate for the first 4 months on balances up to $500,000. Reverts to variable ongoing rate.
- Access
- Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must link to a transaction account
Read reviews and learn more about ING savings accounts
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Savings+Bonus
4.25% p.a. (for $1 to $250,000)
1.75% p.a.(for $1 to $250,000)
Yes up to $250,000
Minimum $100 monthly deposit and no withdrawals to earn bonus interest each month.
Enjoy bonus interest when you deposit $100 or more per month and make no withdrawals. Access your money at any time via internet banking or our mobile app. Maximum balance $250,000 to receive bonus interest.
CompareCompareSavings+Bonus
Enjoy bonus interest when you deposit $100 or more per month and make no withdrawals. Access your money at any time via internet banking or our mobile app. Maximum balance $250,000 to receive bonus interest.
- Maximum rate
- 4.25% p.a. (for $1 to $250,000)
- standard interest rate
- 1.75% p.a.(for $1 to $250,000)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $5.00
- Maximum rate conditions
- Minimum $100 monthly deposit and no withdrawals to earn bonus interest each month.
- Access
- -
- Minimum balance
- $1.00
- Other restrictions
- Must become a First Option Bank member to open an account.
Read reviews and learn more about First Option Bank savings accounts
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^See information about the Mozo Experts Choice Savings Account Awards
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